I'm able to reproduce this as follows:
1. Download this file:
http://openclipart.org/downloads/0.18/openclipart-0.18-full.zip
(if that exact file isn't available simply download the latest full-release
here: http://openclipart.org/media/downloads)
2. Before extracting it with File Roller (the default extractor), be
sure to un-check the "Re-create Folders" option, so that all the files
in the archive are written to a single folder without having sub-
folders.
3. Navigate to the folder where the files were extracted to (using
Nautilus).
Nautilus will lock up and no folders will be displayed and your desktop
icons will disappear until you force quit Nautilus.
** Changed in: nautilus (Ubuntu)
Status: Fix Released => Confirmed
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Opening a folder with lots of svgs causes crash
https://bugs.launchpad.net/bugs/2288
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